Bitcoin Cycle Reminds This Year: Recovery Signal Came from CryptoQuant! - Coin Bulletin

The recent activity in the Bitcoin market reminds us of the major correction period that occurred in 2024. On-chain data shows that the speculative pressure in the market has decreased and a potential recovery signal has emerged.

CryptoQuant analyst Crypto Dan highlighted a metric that measures short-term investor behavior. This metric analyzes the ratio of Bitcoins held for between 1 week and 1 month. According to Dan, increases in this ratio have historically indicated overheating before a market correction.

Dan noted that there were small-scale movements at this rate twice during the 2025 cycle, stating that the current level has reached the same “yellow box” area as the bottom levels of the 2024 correction period. This suggests that the market is going through a similar correction process and that this process is nearing its end.

“The overheating issue seems to be resolved for now. With the progress of macroeconomic developments, 2025 can be expected to be a stage for positive movements.” said Dan, emphasizing that investors may be cautious in the short term but hopeful in the medium term.